Nasdaq Composite is building on its recent gains this morning even though the Bureau of Economic Analysis revised its reading for economic growth in the final quarter of 2022.
Cramer remains bullish on tech stocks
On Thursday, the Commerce Department said the U.S. economy grew at an annualised pace of 2.6% in Q4 versus the previous estimate of 2.7%.
Nonetheless, that’s a strong enough reading for Jim Cramer to remain bullish on the high-quality mega cap tech stocks. On CNBC’s “Squawk Box”, he said today:
These companies are banks in themselves, they don’t need money or financing and a lot of their competitors might not be able to come public anymore because of what happened with the Silicon Valley Bank.
The tech-heavy Nasdaq Composite is up more than 15% for the year at writing.
U.S. jobless claims edged higher last week
Also on Thursday, the weekly jobless claims came in at 198,000 – up 7,000 versus a week ago and higher the economists’ forecast of 195,000. Cramer added:
Many of [these companies] have pretty good earnings momentum coming into the next quarter. They just keep trading up, it’s like a hide in the big cap stock, high margin stock trade. It’s working and you can’t overthink it.
One of the tech stocks he particularly recommends owning is Nvidia Corporation (NASDAQ: NVDA) that he’s convinced is best positioned to benefit from the growing focus on artificial intelligence.
Shares of the multinational tech behemoth are still down more than 15% versus their record high.
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